SUI Network Seeks to Reverse Correction with Rewards, Buybacks, and New CEO
Key Summary
SUI Network has seen a surge in activity following the launch of a new CEO, Robinhood's reward campaign, and buybacks, which could help the altcoin reverse its correction phase. Despite weekly losses of over 10%, SUI remains a popular choice among traders, with its market structure showing bullish signs.
Precedent & Market Context
Sui Network has been a popular choice among traders, with its market structure showing bullish signs. The network has been actively engaging with its community, with the recent launch of a new CEO, Kevin Boon, and a reward campaign from Robinhood. The network has also been actively reducing its circulating supply through buybacks powered by USDsui stablecoin reserve yield.
In June, the network began buying back approximately 900K SUI tokens per day, with the total amount expected to surpass 1 million by the first day of November. Additionally, CME Group's SUI futures traded over $253 million in notional volume in Q3, their first full quarter on the exchange.
Main Event
The main driver of SUI being among trending tokens was Robinhood's latest campaign to reward users with $5 in SUI for learning about the project. Users will be required to complete short educational modules about the Layer 1 (L1) network. The network was also embarking on reducing the circulating supply in the market.
Analysis & Market Impact
The network activity factors combined with fundamentals could help the altcoin reverse its correction phase. On the charts, SUI was correcting after hitting the $1.30 mark last month. The altcoin is now sitting above the order block at $0.98, its most recent higher low (HL). The buying pressure is coming from the $0.98 zone, as seen from candle rejections.
Implications & Outlook
The MACD bars set this precedent, as they indicate bears are in control. Therefore, SUI's market structure is bullish unless it breaks below the support level at $0.6556. If $0.65 fails, Order Block Detector places $0.40-$0.50 as the next demand zone, which was low for 2024.